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. >> kelly: this week on the journal editorial report, a holy war here in america. the domestic is real, but are we prepared to fight it. as the president prepares to make the afghanistan announcement. democrats say they won't support a bigger troop increase without a bigger tax increase. congress tees off on tim geithner some say the treasury secretary should go. is he really the one making economic policy in this administration? welcome to the journal editorial report, i'm paul gigot. federal officials announced charges against eight people they say recruited dozens of
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young americans to join an al-qaeda linked group in somalia. the disappearance of more than 20 young somali men from minneapolis the last two years, most of them u.s. citizens who federal authorities say traveled to somalia to join the terror group fighting to establish a muslim state in somalia and recently pledgedist allegiance to osama bin laden. officials say it's one of the most extensive terror investigations and how well prepared the u.s. is to deal with home grown islamic terrorists. a former ceo officer and a fellow at the foundation for the defense of democracies. great to have you back on the program. >> my pleasure. >> so how serious, widespread and significant is this domestic islamic terror threat? >> well, i think the simple answer to that is we don't know.
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we know it's less serious than what we've seen in europe, take, for example, in great britain, the british domestic intelligence service mi-5 literally runs hundreds of surveillance cases against islamic militants who could go violent. we don't have that type of a threat in the united states, but we do have one, i mean, that's pretty obvious and i think we have taken a little bit too lightly, the dangers of islamic militant propaganda in the united states. the extent to which mosques in the united states can reinforce that-- these attitudes. so, it is something that requires a lot more effort, i think, on the part of the bureau. >> what are the triggering episodes that inspire a young, young muslim americans to go over to al-qaeda? and i'm thinking in particular of this recent somali episode
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because it seems to some of them were radicalized, if that's the right word, by the invasion of ethiopia of somalia in 2007 which the united states supported. can it be just one event just like that? yes, i mean, there are many factors that obviously come into play and there have been some excellent studies looking islamic militants, particularly those affiliated in europe, and you do tend to see a pattern and that first of all, there tends to be, there's something deeply personal that strikes the believer and it radicalizes him and makes him believe that the muslim community at large, what is almost a virtual community of believers is at risk and he personally must rise to the challenge and must become a jihadist and fight for the community. there are other factors that come into play, but usually,
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there's some combination of something what we would call explicitly political and something which is deeply personal, the two go together and the next thing you know, you would have an individual who in normal circumstances seems okay and suddenly, is radicalized and is quite willing to either kill others or kill himself. >> but this suggests you have a necessity almost for an almost permanent monitoring of elements of the muslim community in the united states. is that what the fbi is really going to have to do monitor mosques and infiltrate these communities? because you're saying it could be spontaneous combustion in a way? >> well, what you have in europe is very close to that in areas where there have been danger, particularly in great britain and in france, who both have seen very active militant movements or both experienced considerable violence.
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you do have a penetration of the islamic community which is discrete, but pervasive. >> by this-- >> and i think they're going to have to see something like that in the united states, one hopes that it is discrete. one hopes that it doesn't violate civil liberties, but i think you need to have a service, the fbi needs to become better at building relationships with the islamic community in the united states and particularly monitoring any organization which is espousing militant views, receiving money from saudi arabia, that is potentially dangerous. >> well, let me pursue that point on the fbi because you've been critical of the fbi in saying that it doesn't take religion seriously enough as a motivator of potential domestic terrorism. and so, what should the fbi be doing that it's not doing? >> well, i think the fbi has to
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become a lot more curious and that is, it's very difficult for the fbi, which is a law enforcement agency part that belongs, to pursue leads before crimes are committed and in intelligence, you have to make certain assumptions, they're not nice assumptions, that certain individuals may be guilty even though they haven't committed a crime. you have to engage in surveillance before a crime is committed. i mean, successful counterterrorism is about preempti preemption, you have to do something before the bomb goes off, before people are shot. so, it does require the fbi to be a lot more aggressive, to be a lot more curious to run much more-- much more extensive human intelligence networks inside of the united states and it's very difficult because they don't have a tradition of doing this. >> it runs against their
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cultures, against the fbi's culture. >> no, they definitely don't have-- it's not within their culture, they're not a intn intelligence service. the united states has had a different legal ethical division. and it's difficult for the united states to run essentially what we're saying is an intelligence service. >> as we come back, president obama appears to announce his afghanistan decision. democrats say they won't support a troop increase without a big tax increase. yg;wwgkóçó37wcwówg'çówóçoo
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>> as president obama prepares to make an announcement on afghanistan next week, some
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democrats are saying they won't support a troop increase without an even bigger tax increase to go with it. there ain't going to be no money for nothing if we pour it all into afghanistan, house appropriation committee told abe recently. if they ask for increased troops in afghanistan i'm going to ask them to pay for it. obey and others are asking for an sur tax up to 5 percentage points on the highest income bracket. joining us wall street columnist dan ettinger, and mary o'grady and kim strassel. kim, i'm doing the math here briefly if i can. when president bush's tax rates expire in 2011 that will take the top income tax rate up to almost 40%. you add in the health care sur tax, 45% and now you add on the
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war sur tax and top income tax rate to 50% which in some states, you know, california, oregon, new york, over 60%. the are democrats really serious about this? >> hey, look, i think at this point if you make more than $200,000 you ought to just hand over your paycheck to washington. i don't-- i mean, look, i think he's very serious about making this case, chairperson obey, i'm not sure it will go through for the reasons you said. with all the things they're putting forward even some democrats are getting a little nervous about the tax burden. this is mostly being done to inflict a lot of political pain on the president if he decides he's going to put more troops overseas. >> wait a minute, political pain that democrats want to impose on a democratic president? is that the motive here? >> right, try to get mimm to back off doing this. this is an anti-war congress. people like david obey have never been on board with the afghanistan war. they were quiet for the most part while the president was on
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the campaign trail and making the case that iraq was the bad war, afghanistan was the good war, but they're now in charge and they hold the purse and want to put the threats out there to get him to back off. >> this isn't just obey, you've got carl levin in the senate, head of the armed services committee and jack murtha, big force in the house. there's a real energy and motivation and momentum behind this? >> well, i think it's putting the president in a terrible dilemma. i mean, he has to make presumably we'll get the decision next tuesday about afghanistan, we've assumed he's going to make a commitment of some level of troops, but he's facing the prospect of creating an anti-war movement within his own party, his own people. i think that is the last thing that this president wants. and up to now, that's only been kind of an implicit threat. now, it's becoming explicit. we have the chairman of the senate armed services committee and david obey saying we don't want to go there.
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and it makes it very difficult for the president to make any kind of significant commitment. >> i know you're not old enough to remember this, the 1960's, there was lbj put on a vietnam war sur tax and-- >> in 1962, defense spending was 9% of gdp. now for 2009-- >> amazing, includes iraq and afghanistan. >> that's right. and i think, you know, to kim's point about wanting them to, you know, back out of the war, another way to look at it is to say that this is a display of their ideology, which is the welfare state is going to grow as big as they can possibly get it. they'll get as many dependent on the government they can while they have the power and anything that gets in the way of that potentially makes the deficit look better and forget it, they're going to fight every inch of the way. >> let me talk about the argument here that obey makes and a lot of liberals makes is that what's required here is
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shared sacrifice. the troops sacrifice clearly, their families sacrifice clearly in the war on terror the rest of us aren't asked to do very much, we get to go on with our dual daily leaves and the least we can do is help pay for this war effort. >> what's wrong with that argument, paul, is that it's sort of taking afghanistan and their ideas outside of our political system. we have a federal budget. the federal budget presumably is the result of a political process in which the elected members of congress decide how much money they want to spend on medicare, medicaid, social security. >> right. >> the environment. and the defense. all that have takes place inside that process. they have reached the point now where to do what they want to do on health care, they have to impose a 5.4% is your tax and now they're arguing to conduct national security operatings overseas we have to impose a special tax. i don't think that is shared
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sacrifice, that's an implosion coming apart at the scenes. >> i hear what you're saying, if you spend so much on that and you're not going to spend as much on defense and expanding the welfare state, what obey is saying, i'm sorry we're going to be like europe, spend little on defense. >> that's true if you have an economy that's not growing. if you put it together with our economic plan they have to get out of the war or give up on a lot of ambitions, social agendas. >> all right, thank you. when we come back, tim geithner on the hot seat. the treasury secretary's under fair from both sides of the aisle. but is he really in charge of obama's economic policy and would it make any difference if he resigned? >> like the ox. i crush you like tiny clown car. because you are... ...clown, yes? female valve: come, you hit me again and i break you.
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male valve: oh, you messed with wrong pipe now, car. ha, ha trust me...i have to live with her. announcer:accidents are bad. but geico's good with guaranteed repairs through auto repair express.
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>> it looks like some liberals and conservatives may actually agree on something, that treasury secretary tim geithner has got to go. calls for his resignation came last week, first if democratic congressman peter defazio of oregon and then from republican kevin brady of texas who confronted mr. geithner during his appearance on capitol hill. >> mr. secretary, you are the point man on the economy, the buck in effect stops with you. conservatives agree that as point person, you failed. liberals are growing in that concensus as well. poll after poll shows the public has lost confidence in this president's ability to handle the economy for the sake of our jobs, will you step down from your post? >> the secretary declined mr. brady's invitation, we should tell our viewers, but why is he taking the heat? geithner? >> well, he's got two problems. one is that he is now the
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international symbol for crony capitalism. >> whoa, wait a minute. what do you mean by that? >> well, you know, he was the president of the new york federal reserve bank when citibank was, you know, a bank that should have been under his supervision and was off running an off balance sheet and portfolio filled with very highly leveraged-- >> this is about the bailout not the current economy? >> this is problem one and then problem two is that he is, as the congressman said the pointman for this economic policy. i do agree that it's unfair to blame him. you know, he is not someone who had a great understanding of economics. he's the guy in his whole career has been about being willing to go out there and execute the plan for whoever tells him to do it that's what he's done his whole life. he's executing a plan someone else is telling him about. it's a bad plan, the economy is
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paralyzed, unemployment is going up and people are angry, he can't well say, well, i'm following orders. >> larry summers is the chief economic advisor and christina rom romer, the economist. but the political actors in this administration, the people who listen to capitol hill like rahm emanuel like david axlerod, they're as influential on economic policy? >> well, you know, tim geithner did not design the system plus program. >> i know, david frank and obi and nancy pelosi. >> they got it they own it, no cash for clunkers program is going to bail them out and now 10% unemployment and they've got to find a fall guy. >> is your treasury secretary a sock puppet, saying whether somebody else is telling them to play he should throw it out as a badge it's a bad plan. >> the interesting thing to
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reeled is the left, the democratic left is very angry at geithner and summers and saying they haven't been tough enough on the bankers in particular because they haven't closed some of the banks and in that sense they might agree with our mary o'grady. what is that? what's going on on the democrat's left against geithner. well, you know, you had fuel thrown on the fire with this report that came out about aig, the big insurer and the fact that the-- with the new york fed when mr. geithner was there decided that all the banks who had credit default swaps, then they were going to get paid back in full and makes him look like he's looking out for the banks and it's just not done yet beating on wall street and they have a lot there they feel has got to come out and using mr. geithner's appearances and federal reserve chief ben bernanke's appearances to really kind of exorcize those demons of populism and there's no problem for the president because it gets in the way of sound economic policy.
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>> i don't think, mary, that it would make a bit of difference if tim geithner went in terms of the actual policy with this administration is pursuing and some people, jamie dimon, for example, the head of jp morgan chase did a nice job during the panic and avoiding the worst that happened to citibank and bank of america. would he make a difference? >> he's popular in the-- >> another wall street guy. >> exactly. >> at treasury. >> no, he probably wouldn't and that's my point. geithner cannot be held responsible for the policy, but at the same time you need a treasury secretary who will take responsibility and i would like to be able to name the successor. >> who would that be? >> paul krugman? >> is that who you have in mind. >> no, probably about what we could get confirmed right now. >> i tell you, dan, as long as unemployment stays above 10% and we're headed into an election year next year where democratic majority, if it stays high
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unemployment is going to be in jeopardy. i think they're looking for a ritual and sacrifice, somebody over to the side and-- >> yeah, but the 10% unemployment will still be sitting there and the problem is they're not putting into play any policy that would allow the businesses and economy to invest, or confidence. you've got the health care bill, cap and trade and card check and to be sure the investment in afghanistan. the overhang of uncertainty on the investing community is so huge, it's almost unprecedented and they're not doing anything to reverse that. >> kim, do you think that after health care passes, assuming it does, that the administration's going to pivot somehow and focus on jobs and the economy for the whole election year? >> they're already trying to pivot. they're having a jobs summit, but the problem they have the most of this administration's ideas for creating jobs involve spending more money and they've got a deficit problem and climbing unemployment rate so
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they're in a box. >> all right, kim, last word. we have to take one more break, when we come back, our hits and misses of the week.
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. >> kelly: time now for our hits and misses, dan. >> a miss to myself because i missed oprah winfrey. aim not saying i miss her, i'm saying i missed her completely. here was the most famous person on television for 25 years and you know what? i basically never watched the
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show. >> you were working for a living. >> i think i watched it once, but you know, i'm not knocking oprah, i mean, this woman created an empire, she was a tremendous personality, all i'm saying is that this really defines someone who is totally out of it. i have no idea what she did for 25 years, but i wish her luck in the future. >> mary. >> this is a miss for new york state's charter school cap. by law there can only be 200 charter schools in new york state, if you can believe it and the state is starting to run up against that cap. which means that a lot of school, charter school managers might go to other jurisdictions to look for work because they can't own schools here. there are 40,000 new york city children waiting to get into charter schools and there's a cap. >> what a disgrace. all right, kim. >> this is a hit to the leaker or hacker who put some 3000 e-mails from england's climate research unit on the internet. crew is the spiritual home of the theory of man made global
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warming and these e-mails and documents have shown what many long suspected this is about politics not science, that e-mails appear to show that scientists manipulating data, trying to keep those who oppose their views out of leading journals and trying to hide work from the public. better sooner than later. maybe now we can have a discussion about the science behind global warming. >> this seems to blow a hole for the case that this is somehow a real concensus of man made global warming. what are the political impacts? >> i think the ramifications go beyond even global warming, paul. i mean, as kim just said maybe we can have an honest discussion about the science. the problem is i've always worried that science was running the risk of discrediting the discipline with the way they were going with global warming. >> getting politicized. >> getting politicized. science was one of the discipline in american life people felt was reliable and here you have actually gaming the numbers. i think the ramifications are

The Journal Editorial Report
FOX News November 28, 2009 2:00pm-2:30pm EST

News/Business. Paul Gigot discusses news, politics, society and finance. (CC) (Stereo)

TOPIC FREQUENCY Afghanistan 11, Fbi 7, Europe 4, Tim Geithner 4, Somalia 4, Kim 4, New York 4, Oregon 2, Paul 2, Ha 2, Mr. Geithner 2, Obama 2, Dan 2, Mary O'grady 2, Britain 2, Citibank 2, Dan Ettinger 1, Jack Murtha 1, Kim Strassel 1, Osama Bin 1
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